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Should you extend a counter-offer to your employee?
Posted On September 1, 2022
An employee’s resignation can be concerning, but should you extend a counter-offer to them or let them go? Successful counter-offers are frequently mooted to be short-lived, unless you can address all the reasons they have chosen to leave.
We weigh up some key points to consider as an employer.
Give yourself some time
When your employee’s resignation comes from out of the blue the first thing you should do is set a time the following day to catch up with your employee. One business day (24 hours) gives you the chance to separate your emotional and rational reasoning, examine your business structure and needs then decide if a counter-offer is a worthwhile next step.
Understand your employee’s reasons for leaving
If you can understand your employee’s motivations for resigning, you can target and identify possible changes to appeal to them to stay. Tangible changes are easiest to address (such as salary, career advancement or work/life balance). If their reason is related to working environment, this is much harder to address.
What can you offer?
Consider the value your employee currently brings to your business? If you believe they can continue to be a motivated and productive employee consider the elements to include in your counter-offer such as:
- Increase in salary and/or benefits
- Increase in leave time
- Flexibility in hours and working arrangements
- Promotion
- Change in duties and responsibility
- Wellbeing incentives
Consider your wider team
If you counter-offer, what is the impact on your other employees? Consider some strategies so you can manage their expectations and ensure they too feel valued and motivated. These may include:
- Clarity on roles and responsibilities within your business
- Salary appraisals
- Schedule for appraisals and constructive feedback
- Team building initiatives
- Succession planning
PN Personnel’s Drivers Assessment is a tool designed to provide this information, so you can plan useful retention strategies to improve your team.
Find the positive and be proactive
Losing a valued staff member may feel like a huge gap has opened in your business, however remember a new and fresh face can bring positive ideas and enthusiasm.
If the thought of losing a valued employee is causing you concern, park your worries. Remember, should a situation arise for you, don’t stress, just pick up the phone and give us a call. We have a range of recruitment strategies and temporary cover available.
We’re the experts in recruitment, so you don’t have to be.
Christine Hanning
Constantly providing an exceptional level of service and professionalism in all aspects of her work, Christine takes a genuine interest in whom she works with and is committed to achieving success.
Give Christine a call to discuss options around what you want to achieve in your career and she will endeavour to achieve that 'win-win solution' that's right for you.
Phone 06 280 2400 Mobile 021 0269 3619 Email
